The Botswana government is reconsidering their partnership with HB Antwerp after Lucara Diamond terminated their sales agreement with the Belgian gem trader, according to President Mokgweetsi Masisi.
Lucara cited failure to meet financial obligations as the reason for ending the deal, triggering the need for further assessment by Gaborone.
"We have now learnt that the deal between Lucara and HB is off due to financial issues as it has been reported. It is for us now to determine the course of action we are going to take," Masisi was quoted by Reuters as saying at a press briefing.
Botswana agreed to buy a 24% stake in HB Antwerp earlier this year and supply them with rough diamonds for five years through the state-owned Okavango Diamond Company.
HB and Lucara signed a diamond sales agreement in 2020, which was renewed for a further 10 years in 2022.
HB Antwerp, a diamond processing and trading company, dismissed one of its three co-founders, Oded Mansori, from management in September due to disagreements about the company's direction.
Mansori plans to file a lawsuit against the company for wrongful termination.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
